New Regulation Expected to Save 3 Billion Lira Annually in Budget

AK Party's latest bill proposal to the parliament includes amendments to the Electricity Market Law. The new regulation is expected to save approximately 3 billion lira annually from the central government budget. The Electricity Market Law had previously set the deduction rates for metropolitan municipalities and special provincial administrations at 10%, and for other municipalities at 5%. These rates were increased by the Presidential decree to 20% and 10%, respectively. However, this regulation expired on December 31, 2025. The new regulation will increase the deduction from the municipalities' general budget tax revenue to 30% for metropolitan municipalities and surrounding areas, and to 15% for other municipalities. For areas outside these limits, 30% of the lighting expenses will be deducted from the relevant special provincial administration's share. The regulation will take effect on January 1, 2026.